Tamil Nadu Electricity Sector: The Subsidy Narrative (1989 – 2016)

By
K. Vishnu Mohan Rao
On
August 3, 2017

For the past quarter-century, the electricity sector in the Indian state of Tamil Nadu has been defined by subsidies: free or reduced-price power granted to various groups of customers for both political and socioeconomic reasons. This paper, part of the Mapping Power series, explores the history of the subsidy narrative in Tamil Nadu, the reasons behind it, and the problems it has created for utilities’ financial viability and the reliable supply of power.